Individuals born in Malta who are not nationals and who take up residence in Malta, as well as individuals born in Malta who have been absent from Malta for at least 20 years in aggregate during the last 25 years prior to their return to Malta may elect to qualify to be taxed at a flat tax rate of 15% (subject to a minimum of €2,325 per annum) provided they satisfy the eligibility requirements and conditions.
Returned migrants may engage in gainful occupation. Under the returned migrant scheme, one must satisfy the following conditions and obligations:
- Minimum income to be remitted to Malta must be €14,000 plus additional €2,400 for each additional dependant, including the spouse;
- Be taxed at 15% on the foreign income remitted to Malta;
- Be taxed at progressive rates of 15%, 25% and 35% on income arising from Malta;
- Be subject to a minimum tax liability of €2,325 every year;
- Be entitled to a Tax Free Allowance of €5,900 in case of married couples and €4,200 in case of single persons or married couples whose income could be taxed separately.